Corporate and Other Laws (Group I) Model Test Paper - 5 (Questions) | Model Test Papers for CA Intermediate PDF Download

 Page 1


MODEL TEST PAPER 5
INTERMEDIATE COURSE: GROUP – I 
PAPER – 2: CORPORATE AND OTHER LAWS 
Time Allowed – 3 Hours Maximum Marks – 100 
1. The question paper comprises two parts, Part I and Part II.
2. Part I comprises Case Scenario based Multiple Choice Questions (MCQs)
3. Part II comprises questions which require descriptive type answers.
PART I – Case Scenario based MCQs (30 Marks) 
Part I is compulsory 
Case Scenario 1 
XYZ Ltd. was incorporated on April 1, 2023. The Board of Directors, within the required 
timeframe, appointed Mr. A as the first auditor of the company on April 20, 2023. Mr. 
A was tasked with auditing the company’s financial statements for the financial year 
2022-23, and he held office until the conclusion of the first Annual General Meeting 
(AGM), which was held on September 30, 2023. 
During the AGM, the shareholders decided to appoint Mr. B, a partner in the audit firm 
MNO LLP, as the new auditor. MNO LLP is a limited liability partnership incorporated 
under the LLP Act, 2008. Mr. B and his firm were appointed to hold office from the 
conclusion of the 1st AGM until the conclusion of the 6th AGM in 2028. 
Five years later, in 2028, the company is considering whether to reappoint Mr. B and 
MNO LLP for another term. The shareholders are discussing the provisions of the 
Companies Act, 2013, and the implications of reappointing the same auditor or audit 
firm for multiple terms. 
On the basis of above facts and by applying applicable provisions of the Companies 
Act, 2013 and the applicable Rules therein, choose the correct answer (one out of 
four) of the following Multiple Choice Questions (MCQs 1-5, of 2 marks each) given 
herein under: -  
1. Who was responsible for appointing the first auditor of XYZ Ltd., and within
what timeframe should the appointment have been made?
(a) Shareholders, within 60 days of registration of company
(b) Board of Directors, within 30 days of registration of company
(c) Board of Directors, within 60 days of registration of company
(d) Shareholders, within 30 days of registration of company
2. How long can MNO LLP, as an audit firm, hold office as the auditor of XYZ
Ltd. according to the Companies Act, 2013?
(a) One term of five consecutive years
138
Page 2


MODEL TEST PAPER 5
INTERMEDIATE COURSE: GROUP – I 
PAPER – 2: CORPORATE AND OTHER LAWS 
Time Allowed – 3 Hours Maximum Marks – 100 
1. The question paper comprises two parts, Part I and Part II.
2. Part I comprises Case Scenario based Multiple Choice Questions (MCQs)
3. Part II comprises questions which require descriptive type answers.
PART I – Case Scenario based MCQs (30 Marks) 
Part I is compulsory 
Case Scenario 1 
XYZ Ltd. was incorporated on April 1, 2023. The Board of Directors, within the required 
timeframe, appointed Mr. A as the first auditor of the company on April 20, 2023. Mr. 
A was tasked with auditing the company’s financial statements for the financial year 
2022-23, and he held office until the conclusion of the first Annual General Meeting 
(AGM), which was held on September 30, 2023. 
During the AGM, the shareholders decided to appoint Mr. B, a partner in the audit firm 
MNO LLP, as the new auditor. MNO LLP is a limited liability partnership incorporated 
under the LLP Act, 2008. Mr. B and his firm were appointed to hold office from the 
conclusion of the 1st AGM until the conclusion of the 6th AGM in 2028. 
Five years later, in 2028, the company is considering whether to reappoint Mr. B and 
MNO LLP for another term. The shareholders are discussing the provisions of the 
Companies Act, 2013, and the implications of reappointing the same auditor or audit 
firm for multiple terms. 
On the basis of above facts and by applying applicable provisions of the Companies 
Act, 2013 and the applicable Rules therein, choose the correct answer (one out of 
four) of the following Multiple Choice Questions (MCQs 1-5, of 2 marks each) given 
herein under: -  
1. Who was responsible for appointing the first auditor of XYZ Ltd., and within
what timeframe should the appointment have been made?
(a) Shareholders, within 60 days of registration of company
(b) Board of Directors, within 30 days of registration of company
(c) Board of Directors, within 60 days of registration of company
(d) Shareholders, within 30 days of registration of company
2. How long can MNO LLP, as an audit firm, hold office as the auditor of XYZ
Ltd. according to the Companies Act, 2013?
(a) One term of five consecutive years
138
(b) Two terms of five consecutive years
(c) One term of six consecutive years
(d) Three terms of five consecutive years
3. If XYZ Ltd. wants to reappoint MNO LLP for another term after 2028, what 
does the Companies Act, 2013, mandate?
(a) MNO LLP can be reappointed for another term of five years.
(b) MNO LLP cannot be reappointed, as they have already served one term.
(c) MNO LLP cannot be reappointed, as they have already served two 
terms.
(d) MNO LLP can be reappointed, but the tenure must be reduced to three 
years.
4. What is the maximum tenure for which Mr. A as the first auditor of XYZ Pvt. 
Ltd., can hold office?
(a) From the date of appointment until the conclusion of the first AGM i.e.
         30
th
 September 2023
(b) From the date of appointment until the conclusion of the second AGM (in
        2024)
(c) From the date of appointment until the conclusion of the third AGM (in
         2025)
(d) From the date of registration of company until the conclusion of the first
        AGM i.e. 30
th
 September 2023
5. By what date the copy of the annual return is to be filed with the Registrar of 
companies in case of first AGM of XYZ Ltd.?
(a) 29
th
 November 2023
(b) 30
th
 December 2023
(c) 31
st
 January 2024
(d) 29
th
 February 2024
Case Scenario 2 
In 2023, Tech Innovations LLP was established as a Limited Liability Partnership 
under the Limited Liability Partnership Act, 2008. The LLP was formed with two 
partners: Alex and Jordan, who contributed equally to the capital. Alex contributed 
5,00,000, while Jordan also contributed 5,00,000. The firm was registered with the 
Registrar of Companies on April 1, 2023. 
Tech Innovations LLP's operations focused on software development and technology 
consulting. As per the LLP agreement, both partners shared profits and losses equally. 
The LLP agreement also stipulated that any changes in the partnership, such as the 
addition of a new partner or transfer of interest, required the consent of both existing 
partners. 
139
Page 3


MODEL TEST PAPER 5
INTERMEDIATE COURSE: GROUP – I 
PAPER – 2: CORPORATE AND OTHER LAWS 
Time Allowed – 3 Hours Maximum Marks – 100 
1. The question paper comprises two parts, Part I and Part II.
2. Part I comprises Case Scenario based Multiple Choice Questions (MCQs)
3. Part II comprises questions which require descriptive type answers.
PART I – Case Scenario based MCQs (30 Marks) 
Part I is compulsory 
Case Scenario 1 
XYZ Ltd. was incorporated on April 1, 2023. The Board of Directors, within the required 
timeframe, appointed Mr. A as the first auditor of the company on April 20, 2023. Mr. 
A was tasked with auditing the company’s financial statements for the financial year 
2022-23, and he held office until the conclusion of the first Annual General Meeting 
(AGM), which was held on September 30, 2023. 
During the AGM, the shareholders decided to appoint Mr. B, a partner in the audit firm 
MNO LLP, as the new auditor. MNO LLP is a limited liability partnership incorporated 
under the LLP Act, 2008. Mr. B and his firm were appointed to hold office from the 
conclusion of the 1st AGM until the conclusion of the 6th AGM in 2028. 
Five years later, in 2028, the company is considering whether to reappoint Mr. B and 
MNO LLP for another term. The shareholders are discussing the provisions of the 
Companies Act, 2013, and the implications of reappointing the same auditor or audit 
firm for multiple terms. 
On the basis of above facts and by applying applicable provisions of the Companies 
Act, 2013 and the applicable Rules therein, choose the correct answer (one out of 
four) of the following Multiple Choice Questions (MCQs 1-5, of 2 marks each) given 
herein under: -  
1. Who was responsible for appointing the first auditor of XYZ Ltd., and within
what timeframe should the appointment have been made?
(a) Shareholders, within 60 days of registration of company
(b) Board of Directors, within 30 days of registration of company
(c) Board of Directors, within 60 days of registration of company
(d) Shareholders, within 30 days of registration of company
2. How long can MNO LLP, as an audit firm, hold office as the auditor of XYZ
Ltd. according to the Companies Act, 2013?
(a) One term of five consecutive years
138
(b) Two terms of five consecutive years
(c) One term of six consecutive years
(d) Three terms of five consecutive years
3. If XYZ Ltd. wants to reappoint MNO LLP for another term after 2028, what 
does the Companies Act, 2013, mandate?
(a) MNO LLP can be reappointed for another term of five years.
(b) MNO LLP cannot be reappointed, as they have already served one term.
(c) MNO LLP cannot be reappointed, as they have already served two 
terms.
(d) MNO LLP can be reappointed, but the tenure must be reduced to three 
years.
4. What is the maximum tenure for which Mr. A as the first auditor of XYZ Pvt. 
Ltd., can hold office?
(a) From the date of appointment until the conclusion of the first AGM i.e.
         30
th
 September 2023
(b) From the date of appointment until the conclusion of the second AGM (in
        2024)
(c) From the date of appointment until the conclusion of the third AGM (in
         2025)
(d) From the date of registration of company until the conclusion of the first
        AGM i.e. 30
th
 September 2023
5. By what date the copy of the annual return is to be filed with the Registrar of 
companies in case of first AGM of XYZ Ltd.?
(a) 29
th
 November 2023
(b) 30
th
 December 2023
(c) 31
st
 January 2024
(d) 29
th
 February 2024
Case Scenario 2 
In 2023, Tech Innovations LLP was established as a Limited Liability Partnership 
under the Limited Liability Partnership Act, 2008. The LLP was formed with two 
partners: Alex and Jordan, who contributed equally to the capital. Alex contributed 
5,00,000, while Jordan also contributed 5,00,000. The firm was registered with the 
Registrar of Companies on April 1, 2023. 
Tech Innovations LLP's operations focused on software development and technology 
consulting. As per the LLP agreement, both partners shared profits and losses equally. 
The LLP agreement also stipulated that any changes in the partnership, such as the 
addition of a new partner or transfer of interest, required the consent of both existing 
partners. 
139
In June 2024, Tech Innovations LLP decided to admit a new partner, Priya, who 
brought in ` 2,00,000 as her capital contribution. This change was duly recorded and 
filed with the Registrar of Companies. Furthermore, the LLP decided to hold an annual 
general meeting within six months from the end of the financial year to approve 
financial statements and discuss business matters. 
On the basis of above facts and by applying applicable provisions of the Limited liability 
Partnership Act, 2008 and the applicable Rules therein, choose the correct answer 
(one out of four) of the following Multiple Choice Questions (MCQs 6-7 of 2 marks 
each) given herein under:  
6. As per the LLP Act, 2008, what is required for admitting a new partner into the
LLP?
(a) The consent of one existing partner- Only Alex
(b) A majority vote of existing partners- Either Alex or Jordan
(c) The consent of all existing partners- Both Alex and Jordan
(d) Approval from the Registrar of Companies
7. When is Tech Innovations LLP required to hold its annual general meeting?
(a) By 30
th
 April, 2024
(b) By  30
th
 June, 2024
(c) By  31
st
 July, 2024
(d) By 30
th
 September, 2024
Case Scenario 3 
In 2024, Global Enterprises Ltd., a company specializing in international trade, needed 
to send an important notice to one of its clients, Mr. Rajiv Patel, regarding a contractual 
amendment. According to the company’s internal regulations and the contract terms, 
the notice had to be served by post. 
On April 15, 2024, the company's legal department prepared the notice and addressed 
it to Mr. Patel at his registered address. The notice was properly addressed, prepaid, 
and sent via registered post with acknowledgment due to ensure the highest level of 
confirmation for delivery. 
A few days later, on April 20, 2024, the notice was returned with a stamp indicating 
that it was "not claimed" by Mr. Patel. The legal department recorded the return of the 
notice and noted the endorsement. 
The company’s legal advisor referred to past case laws for similar scenarios to ensure 
that the notice was considered legally served under Section 27 of the General Clauses 
Act, 1897. They reviewed the following precedents: 
United Commercial Bank v. Bhim Sain Makhija: It was noted that merely sending a 
notice by registered post without the acknowledgment due did not provide sufficient 
legal protection for proving service. 
140
Page 4


MODEL TEST PAPER 5
INTERMEDIATE COURSE: GROUP – I 
PAPER – 2: CORPORATE AND OTHER LAWS 
Time Allowed – 3 Hours Maximum Marks – 100 
1. The question paper comprises two parts, Part I and Part II.
2. Part I comprises Case Scenario based Multiple Choice Questions (MCQs)
3. Part II comprises questions which require descriptive type answers.
PART I – Case Scenario based MCQs (30 Marks) 
Part I is compulsory 
Case Scenario 1 
XYZ Ltd. was incorporated on April 1, 2023. The Board of Directors, within the required 
timeframe, appointed Mr. A as the first auditor of the company on April 20, 2023. Mr. 
A was tasked with auditing the company’s financial statements for the financial year 
2022-23, and he held office until the conclusion of the first Annual General Meeting 
(AGM), which was held on September 30, 2023. 
During the AGM, the shareholders decided to appoint Mr. B, a partner in the audit firm 
MNO LLP, as the new auditor. MNO LLP is a limited liability partnership incorporated 
under the LLP Act, 2008. Mr. B and his firm were appointed to hold office from the 
conclusion of the 1st AGM until the conclusion of the 6th AGM in 2028. 
Five years later, in 2028, the company is considering whether to reappoint Mr. B and 
MNO LLP for another term. The shareholders are discussing the provisions of the 
Companies Act, 2013, and the implications of reappointing the same auditor or audit 
firm for multiple terms. 
On the basis of above facts and by applying applicable provisions of the Companies 
Act, 2013 and the applicable Rules therein, choose the correct answer (one out of 
four) of the following Multiple Choice Questions (MCQs 1-5, of 2 marks each) given 
herein under: -  
1. Who was responsible for appointing the first auditor of XYZ Ltd., and within
what timeframe should the appointment have been made?
(a) Shareholders, within 60 days of registration of company
(b) Board of Directors, within 30 days of registration of company
(c) Board of Directors, within 60 days of registration of company
(d) Shareholders, within 30 days of registration of company
2. How long can MNO LLP, as an audit firm, hold office as the auditor of XYZ
Ltd. according to the Companies Act, 2013?
(a) One term of five consecutive years
138
(b) Two terms of five consecutive years
(c) One term of six consecutive years
(d) Three terms of five consecutive years
3. If XYZ Ltd. wants to reappoint MNO LLP for another term after 2028, what 
does the Companies Act, 2013, mandate?
(a) MNO LLP can be reappointed for another term of five years.
(b) MNO LLP cannot be reappointed, as they have already served one term.
(c) MNO LLP cannot be reappointed, as they have already served two 
terms.
(d) MNO LLP can be reappointed, but the tenure must be reduced to three 
years.
4. What is the maximum tenure for which Mr. A as the first auditor of XYZ Pvt. 
Ltd., can hold office?
(a) From the date of appointment until the conclusion of the first AGM i.e.
         30
th
 September 2023
(b) From the date of appointment until the conclusion of the second AGM (in
        2024)
(c) From the date of appointment until the conclusion of the third AGM (in
         2025)
(d) From the date of registration of company until the conclusion of the first
        AGM i.e. 30
th
 September 2023
5. By what date the copy of the annual return is to be filed with the Registrar of 
companies in case of first AGM of XYZ Ltd.?
(a) 29
th
 November 2023
(b) 30
th
 December 2023
(c) 31
st
 January 2024
(d) 29
th
 February 2024
Case Scenario 2 
In 2023, Tech Innovations LLP was established as a Limited Liability Partnership 
under the Limited Liability Partnership Act, 2008. The LLP was formed with two 
partners: Alex and Jordan, who contributed equally to the capital. Alex contributed 
5,00,000, while Jordan also contributed 5,00,000. The firm was registered with the 
Registrar of Companies on April 1, 2023. 
Tech Innovations LLP's operations focused on software development and technology 
consulting. As per the LLP agreement, both partners shared profits and losses equally. 
The LLP agreement also stipulated that any changes in the partnership, such as the 
addition of a new partner or transfer of interest, required the consent of both existing 
partners. 
139
In June 2024, Tech Innovations LLP decided to admit a new partner, Priya, who 
brought in ` 2,00,000 as her capital contribution. This change was duly recorded and 
filed with the Registrar of Companies. Furthermore, the LLP decided to hold an annual 
general meeting within six months from the end of the financial year to approve 
financial statements and discuss business matters. 
On the basis of above facts and by applying applicable provisions of the Limited liability 
Partnership Act, 2008 and the applicable Rules therein, choose the correct answer 
(one out of four) of the following Multiple Choice Questions (MCQs 6-7 of 2 marks 
each) given herein under:  
6. As per the LLP Act, 2008, what is required for admitting a new partner into the
LLP?
(a) The consent of one existing partner- Only Alex
(b) A majority vote of existing partners- Either Alex or Jordan
(c) The consent of all existing partners- Both Alex and Jordan
(d) Approval from the Registrar of Companies
7. When is Tech Innovations LLP required to hold its annual general meeting?
(a) By 30
th
 April, 2024
(b) By  30
th
 June, 2024
(c) By  31
st
 July, 2024
(d) By 30
th
 September, 2024
Case Scenario 3 
In 2024, Global Enterprises Ltd., a company specializing in international trade, needed 
to send an important notice to one of its clients, Mr. Rajiv Patel, regarding a contractual 
amendment. According to the company’s internal regulations and the contract terms, 
the notice had to be served by post. 
On April 15, 2024, the company's legal department prepared the notice and addressed 
it to Mr. Patel at his registered address. The notice was properly addressed, prepaid, 
and sent via registered post with acknowledgment due to ensure the highest level of 
confirmation for delivery. 
A few days later, on April 20, 2024, the notice was returned with a stamp indicating 
that it was "not claimed" by Mr. Patel. The legal department recorded the return of the 
notice and noted the endorsement. 
The company’s legal advisor referred to past case laws for similar scenarios to ensure 
that the notice was considered legally served under Section 27 of the General Clauses 
Act, 1897. They reviewed the following precedents: 
United Commercial Bank v. Bhim Sain Makhija: It was noted that merely sending a 
notice by registered post without the acknowledgment due did not provide sufficient 
legal protection for proving service. 
140
Jagdish Singh v. Natthu Singh: This case demonstrated that if a notice sent by 
registered post was returned with a refusal endorsement, it was considered served. 
Smt. Vandana Gulati v. Gurmeet Singh alias Mangal Singh: It was established that if 
a notice sent by registered post to a proper address was returned with an endorsement 
like "not claimed", it was deemed served unless proven otherwise. 
On the basis of above facts and by applying applicable provisions of the General 
Clauses Act, 1897 and the applicable Rules therein, choose the correct answer (one 
out of four) of the following Multiple Choice Questions (MCQs 8-10 of 2 marks each) 
given herein under:  
8. According to Section 27 of the General Clauses Act, 1897, what three
conditions must be fulfilled for a service by post to be deemed effective?
(a) Properly addressed, Pre-paid, and Posting by ordinary post
(b) Properly addressed, Pre-paid, and Posting by registered post
(c) Properly addressed, Pre-paid, and Sending by courier
(d) Properly addressed, Pre-paid, and Hand delivery
9. In the case of United Commercial Bank v. Bhim Sain Makhija, why was the
presumption of service under registered post found to be insufficient?
(a) Because the notice was sent by ordinary post
(b) Because the notice was sent by registered post but not with
acknowledgment due
(c) Because the address was incorrect
(d) Because the recipient did not respond
10. What does the case of Jagdish Singh v. Natthu Singh demonstrate about the
service of notice?
(a) Notice sent by registered post without return endorsement is invalid
(b) Notice sent by registered post and returned with refusal endorsement is
deemed served
(c) Notice sent by ordinary post is deemed served if not returned
(d) Notice served by hand delivery is always valid
Independent case scenarios 
11. XYZ Ltd., a manufacturing company, had taken a loan from ABC Bank and
registered a charge on its assets on January 1, 2022. On April 1, 2024, XYZ
Ltd. paid off the entire loan to ABC Bank. According to Section 82 of the
Companies Act, 2013, XYZ Ltd. was required to file an intimation with the
Registrar of Companies (ROC) regarding the satisfaction of the charge within
30 days from the date of the payment.
However, due to an oversight, the company did not submit the intimation until
July 15, 2024. To rectify this, the company decided to take advantage of the
extended period for intimation provided under the proviso to Section 82 (1),
141
Page 5


MODEL TEST PAPER 5
INTERMEDIATE COURSE: GROUP – I 
PAPER – 2: CORPORATE AND OTHER LAWS 
Time Allowed – 3 Hours Maximum Marks – 100 
1. The question paper comprises two parts, Part I and Part II.
2. Part I comprises Case Scenario based Multiple Choice Questions (MCQs)
3. Part II comprises questions which require descriptive type answers.
PART I – Case Scenario based MCQs (30 Marks) 
Part I is compulsory 
Case Scenario 1 
XYZ Ltd. was incorporated on April 1, 2023. The Board of Directors, within the required 
timeframe, appointed Mr. A as the first auditor of the company on April 20, 2023. Mr. 
A was tasked with auditing the company’s financial statements for the financial year 
2022-23, and he held office until the conclusion of the first Annual General Meeting 
(AGM), which was held on September 30, 2023. 
During the AGM, the shareholders decided to appoint Mr. B, a partner in the audit firm 
MNO LLP, as the new auditor. MNO LLP is a limited liability partnership incorporated 
under the LLP Act, 2008. Mr. B and his firm were appointed to hold office from the 
conclusion of the 1st AGM until the conclusion of the 6th AGM in 2028. 
Five years later, in 2028, the company is considering whether to reappoint Mr. B and 
MNO LLP for another term. The shareholders are discussing the provisions of the 
Companies Act, 2013, and the implications of reappointing the same auditor or audit 
firm for multiple terms. 
On the basis of above facts and by applying applicable provisions of the Companies 
Act, 2013 and the applicable Rules therein, choose the correct answer (one out of 
four) of the following Multiple Choice Questions (MCQs 1-5, of 2 marks each) given 
herein under: -  
1. Who was responsible for appointing the first auditor of XYZ Ltd., and within
what timeframe should the appointment have been made?
(a) Shareholders, within 60 days of registration of company
(b) Board of Directors, within 30 days of registration of company
(c) Board of Directors, within 60 days of registration of company
(d) Shareholders, within 30 days of registration of company
2. How long can MNO LLP, as an audit firm, hold office as the auditor of XYZ
Ltd. according to the Companies Act, 2013?
(a) One term of five consecutive years
138
(b) Two terms of five consecutive years
(c) One term of six consecutive years
(d) Three terms of five consecutive years
3. If XYZ Ltd. wants to reappoint MNO LLP for another term after 2028, what 
does the Companies Act, 2013, mandate?
(a) MNO LLP can be reappointed for another term of five years.
(b) MNO LLP cannot be reappointed, as they have already served one term.
(c) MNO LLP cannot be reappointed, as they have already served two 
terms.
(d) MNO LLP can be reappointed, but the tenure must be reduced to three 
years.
4. What is the maximum tenure for which Mr. A as the first auditor of XYZ Pvt. 
Ltd., can hold office?
(a) From the date of appointment until the conclusion of the first AGM i.e.
         30
th
 September 2023
(b) From the date of appointment until the conclusion of the second AGM (in
        2024)
(c) From the date of appointment until the conclusion of the third AGM (in
         2025)
(d) From the date of registration of company until the conclusion of the first
        AGM i.e. 30
th
 September 2023
5. By what date the copy of the annual return is to be filed with the Registrar of 
companies in case of first AGM of XYZ Ltd.?
(a) 29
th
 November 2023
(b) 30
th
 December 2023
(c) 31
st
 January 2024
(d) 29
th
 February 2024
Case Scenario 2 
In 2023, Tech Innovations LLP was established as a Limited Liability Partnership 
under the Limited Liability Partnership Act, 2008. The LLP was formed with two 
partners: Alex and Jordan, who contributed equally to the capital. Alex contributed 
5,00,000, while Jordan also contributed 5,00,000. The firm was registered with the 
Registrar of Companies on April 1, 2023. 
Tech Innovations LLP's operations focused on software development and technology 
consulting. As per the LLP agreement, both partners shared profits and losses equally. 
The LLP agreement also stipulated that any changes in the partnership, such as the 
addition of a new partner or transfer of interest, required the consent of both existing 
partners. 
139
In June 2024, Tech Innovations LLP decided to admit a new partner, Priya, who 
brought in ` 2,00,000 as her capital contribution. This change was duly recorded and 
filed with the Registrar of Companies. Furthermore, the LLP decided to hold an annual 
general meeting within six months from the end of the financial year to approve 
financial statements and discuss business matters. 
On the basis of above facts and by applying applicable provisions of the Limited liability 
Partnership Act, 2008 and the applicable Rules therein, choose the correct answer 
(one out of four) of the following Multiple Choice Questions (MCQs 6-7 of 2 marks 
each) given herein under:  
6. As per the LLP Act, 2008, what is required for admitting a new partner into the
LLP?
(a) The consent of one existing partner- Only Alex
(b) A majority vote of existing partners- Either Alex or Jordan
(c) The consent of all existing partners- Both Alex and Jordan
(d) Approval from the Registrar of Companies
7. When is Tech Innovations LLP required to hold its annual general meeting?
(a) By 30
th
 April, 2024
(b) By  30
th
 June, 2024
(c) By  31
st
 July, 2024
(d) By 30
th
 September, 2024
Case Scenario 3 
In 2024, Global Enterprises Ltd., a company specializing in international trade, needed 
to send an important notice to one of its clients, Mr. Rajiv Patel, regarding a contractual 
amendment. According to the company’s internal regulations and the contract terms, 
the notice had to be served by post. 
On April 15, 2024, the company's legal department prepared the notice and addressed 
it to Mr. Patel at his registered address. The notice was properly addressed, prepaid, 
and sent via registered post with acknowledgment due to ensure the highest level of 
confirmation for delivery. 
A few days later, on April 20, 2024, the notice was returned with a stamp indicating 
that it was "not claimed" by Mr. Patel. The legal department recorded the return of the 
notice and noted the endorsement. 
The company’s legal advisor referred to past case laws for similar scenarios to ensure 
that the notice was considered legally served under Section 27 of the General Clauses 
Act, 1897. They reviewed the following precedents: 
United Commercial Bank v. Bhim Sain Makhija: It was noted that merely sending a 
notice by registered post without the acknowledgment due did not provide sufficient 
legal protection for proving service. 
140
Jagdish Singh v. Natthu Singh: This case demonstrated that if a notice sent by 
registered post was returned with a refusal endorsement, it was considered served. 
Smt. Vandana Gulati v. Gurmeet Singh alias Mangal Singh: It was established that if 
a notice sent by registered post to a proper address was returned with an endorsement 
like "not claimed", it was deemed served unless proven otherwise. 
On the basis of above facts and by applying applicable provisions of the General 
Clauses Act, 1897 and the applicable Rules therein, choose the correct answer (one 
out of four) of the following Multiple Choice Questions (MCQs 8-10 of 2 marks each) 
given herein under:  
8. According to Section 27 of the General Clauses Act, 1897, what three
conditions must be fulfilled for a service by post to be deemed effective?
(a) Properly addressed, Pre-paid, and Posting by ordinary post
(b) Properly addressed, Pre-paid, and Posting by registered post
(c) Properly addressed, Pre-paid, and Sending by courier
(d) Properly addressed, Pre-paid, and Hand delivery
9. In the case of United Commercial Bank v. Bhim Sain Makhija, why was the
presumption of service under registered post found to be insufficient?
(a) Because the notice was sent by ordinary post
(b) Because the notice was sent by registered post but not with
acknowledgment due
(c) Because the address was incorrect
(d) Because the recipient did not respond
10. What does the case of Jagdish Singh v. Natthu Singh demonstrate about the
service of notice?
(a) Notice sent by registered post without return endorsement is invalid
(b) Notice sent by registered post and returned with refusal endorsement is
deemed served
(c) Notice sent by ordinary post is deemed served if not returned
(d) Notice served by hand delivery is always valid
Independent case scenarios 
11. XYZ Ltd., a manufacturing company, had taken a loan from ABC Bank and
registered a charge on its assets on January 1, 2022. On April 1, 2024, XYZ
Ltd. paid off the entire loan to ABC Bank. According to Section 82 of the
Companies Act, 2013, XYZ Ltd. was required to file an intimation with the
Registrar of Companies (ROC) regarding the satisfaction of the charge within
30 days from the date of the payment.
However, due to an oversight, the company did not submit the intimation until
July 15, 2024. To rectify this, the company decided to take advantage of the
extended period for intimation provided under the proviso to Section 82 (1),
141
which allows for an extension up to 300 days with the payment of additional 
fees. 
The additional fee for late intimation was `5,000, and the company's 
compliance officer needed to calculate the total fee to be paid for the delayed 
filing. 
As per the given facts, examine by how many days XYZ Ltd. was late in 
submitting the intimation of satisfaction of charge? What additional fee should 
the company pay for this delay? 
(a) 90 days , Fee = 1,000
(b) 76 days , Fee = 5,000
(c) 90 days , Fee = 5,000
(d) 300 days , Fee = 10,000 (2 Marks) 
12. Athlete Rajiv Sharma, a professional tennis player from India, achieved
remarkable success by winning a prestigious international tennis tournament
held in Paris, France. As a result of his victory, he received a prize money of
$150,000 from the event organizers. Rajiv was excited about his winnings and
planned to use a portion of the prize money to fund his training and future
tournaments abroad.
Rajiv decided to remit $150,000 to his personal account in France to manage
his finances and cover his training expenses. However, before proceeding, he
needed to ensure that the remittance complied with the Foreign Exchange
Management Act (FEMA), 1999, specifically concerning the remittance of
prize money or sponsorship of sports activities abroad.
Under FEMA regulations, individuals other than international, national, or
state-level sports bodies are subject to specific guidelines when remitting
amounts exceeding $100,000. Rajiv was aware that the amount involved in
his case exceeded this threshold and sought advice on the necessary steps
and compliance.
Enumerate in the given instance, according to FEMA regulations, what must
Rajiv Sharma do if he wishes to remit prize money exceeding US $100,000
abroad?
(a) Remit the amount directly without any additional requirements.
(b) Obtain approval from Paris Government before remitting the amount
(c) Only provide proof of winning the prize
(d) Require prior approval of Ministry of Human Resource Development
(Department of Youth Affairs and Sports) (2 Marks)
13. Kite Sports Academy, a private coaching club, provides coaching for cricket,
football and other similar sports. It coaches sports aspirants pan India. It also
conducts various sports events and campaigns, across the country. In 2022,
to mark the 25
th
 year of its operation, a cricket tournament (akin to the format
of T-20) is being organized by Kite Sports Academy in Lancashire, England,
in the first half of April. The prize money for the ‘winning team’ is fixed at USD
142